New Tariff Increases for Portland General Electric Customers from January 1, 2025
PORTLAND, Ore. — Portland General Electric (PGE) will increase its consumer rates by between 5.5% to 7.7% on January 1, 2025, it announced yesterday.
Increases Will Improve Supply Availability
The increased tariffs, approved by the Oregon Public Utility Commission (OPUC), will be used to fund a battery energy storage system to improve supply availability and reduce the need to buy electricity from the energy market.
‘PGE is working to keep prices as low as possible,’ says VP Chief Commercial and Customer Officer John McFarland in a news release.
He explains that PGE is investing ‘in a smarter and stronger energy grid’ that will reduce outages and connect to carbon-free energy resources. These advances will help PGE protect against damage from extreme weather and wildfires.
The Residential, Industrial, and Commercial Increases
These are the increases approved by the Utility Commission:
- Residential – 5.5%
- Industrial – 6%
- Commercial – 7.5%
McFarland says the residential rate increase consists of a 1.9% increase in power costs and a 1.1% increase in mandated funding of the Oregon Energy Trust. The remaining 2.5% is for capital investments.
The increase is expected will generate an additional $98 million in revenue.
PGE Suspends Disconnection to Qualified Customers
PGE will go the extra mile to help its more disadvantaged customers. Until the end of March 2025, PGE will suspend any disconnection for income-qualified bill discount (IQBD) customers and customers with medical certificates.
Additionally, the company is ‘forgiving’ up to $1000 past-due balances for the most vulnerable, lowest-income IQBD customers and expanding cold-weather disconnection protections for all customers.
McFarland says rising prices are a challenge for many customers and that PGE is committed to helping them access the energy they need.
He says the company offers a variety of tools that assist customers take control of their energy requirements, such as usage dashboards, rebates, and incentives for energy efficiency.
The company is working to increase enrollment in its Income-Qualified Bill Discount program (IQBD), offering customers assistance and resources.
PGE is Evaluating the OPUC Order
McFarland says PGE is evaluating the full implications of the Utility Commission’s order, including decisions on certain operating and maintenance costs, its fleet electrification, and the Clearwater Wind Energy Center.
PGE will be submitting a new proposal to the OPUC to recoup investments in the Seaside battery project.
‘PGE remains committed to customer affordability, carefully managing its cost structure, and deploying resources for high-impact investments that benefit all stakeholders.’
In a separate filing with the Commission, PGE has put forward a proposal to strengthen protections for residential and small business customers and to fairly allocate the cost and risk of providing bulk electricity supplies to new industrial customers.
The rate review and approval process administered by OPUC is a transparent public regulatory proceeding.
PGE provided OPUC with nearly 2,000 pages of testimony and answered 1,120 data requests during the process. It also engaged with multiple intervention groups.